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MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

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Explore different types of political risk insurance guarantees provided to investors and lenders.

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Explore global projects that support economic growth, reduce poverty and improves people’s lives.

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

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World Bank building

MIGA’s goal is to promote foreign direct investment into developing countries to support economic growth and more.

Our Impact Dropdown Description

Hands husking peas into a basket full of peas

Learn about the progress MIGA is making in its mission to support economic growth, reduce poverty and improve people’s lives.

Our Products Dropdown Description

Young woman bending down to tending to her outside chores

Explore different types of political risk insurance guarantees provided to investors and lenders.

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Hyundai building

Explore global projects that support economic growth, reduce poverty and improves people’s lives.

Croatia

Zagrebacka Bank

$326.7 million
Banking
Project Brief
Not Active
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MIGA has issued a guarantee of $326.7 million to UniCredit Bank Austria AG (UBA) for a period of up to 10 years against the risks of transfer restriction, expropriation, and war and civil disturbance.  The project involves a $378 million shareholder loan from UBA of the UniCredit Group, to its subsidiary Zagrebačka Banka d.d. (ZABA) in Croatia.

The shareholder loan is intended to serve two purposes. First, this loan is being extended in view of UBA’s approach to always maintain sound and strong liquidity standards amongst its subsidiaries. Consequently, UBA intends to improve ZABA’s structural liquidity ratio by lengthening the tenor of ZABA’s funding to better match its liabilities. Second, this loan is intended to support new lending in the Croatian economy.

The project falls under MIGA’s Financial Sector Initiative. As a result of the recent financial crisis, the state of Croatia’s economy remains delicate. This project forms part of MIGA’s response to the crisis and is consistent with the objectives of the Joint IFI Action Plan, a coordinated program of the World Bank Group, the European Investment Bank, and the European Bank for Reconstruction and Development. 

Given ZABA’s size and systemic importance in Croatia’s banking, support to this project is critical to making the sector more resistant to future unforeseen shocks.  With 130 branches, almost 800 ATMs, and nearly 310,000 online customers, ZABA is the largest retail and corporate bank in Croatia.

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